Case studies on managememt

Question 1:

Josh Enterprises decides to have a meeting of all the key employees of different departments in the
organisation. The main motive is to tell the employees to keep the target of 20% increase in sales as the
main objective when they work throughout the year. The meeting is full of ideas regarding the
employees and processes involved. Various plans are made to harness the potential of the employees
and streamline the processes. However with the passage of a few days the external business
environment checks the capability of the organisation to adapt to the situations. The company
successfully comes out at the end of the year with flying colours.

What are the various characteristics of management you can find highlighted here? Also identify the
lines in which these characteristics have been highlighted.

Answer:

The various characteristics of management involved here are:

Goal Oriented. The main motive is to tell the employees to keep the target of 20% increase in sales as
the main objective when they work throughout the year.

Multidimensional. Various plans are made to harness the potential of the employees and streamline the
processes. Employees—People, and Streamline the process—Operations.

Dynamic. However with the passage of a few days the external business environment checks the
capability of the organisation to adapt to the situations.

Question 2:

XYZ Ltd. is a management oriented company. Time and again all the employees learn from their seniors
various ways of dealing with diverse situations. They are provided training whenever required. They are
also given incentives both financial as well as non financial. The result is employees see their
development in the organisation. The organisation tries to behave as a responsible constituent of society
and ahvays creates good quality products. It has a very good image in the market. The training modules
are superb and the employees always try to find unique ways of providing solutions in the context of
rapidly changing business environment. This has helped the organisation to adjust frequently in a very
good manner.

Which importance of management is highlighted here? Also identify the lines.

Answer:

The importance of management highlighted here are:

Development of personnel. They are also given incentives both financial as well as non financial. The
result is employees see their development in the organisation.

Development of society. The organisation tries to behave as a responsible constituent of society and
always creates good quality products.

Helps in becoming dynamic organisation. The training modules are superb and the employees always try
to find unique ways of providing solutions in the context of rapidly changing business environment.

Question 3:

Gold Land Pvt. Ltd. is a wheat producing company. Daily 5000 bags of wheat weighing 10 kg each are
produced here. In comparison to the previous year this ere has been less number of bags produced on a
per day basis. The number is around 4500 which is less than the target of 5000 set by the company. The
company however has been able to reduce the costs involved in comparison to last year’s spending on
the production and packaging of each bag. The quality of bags has also been up to the mark.

Identify the concept of management ignored here.

Answer:

The concept ignored here is that of effectiveness as the quantity produced here is lesser than targeted.
Effectiveness requires output to be in required quantity, time and quality.

Question 4:

A floor manager of a mall is a very good manager as he utilizes all the functions of management to
minimize cost of maintenance of his area. He directs all the staff members under him to follow the
targets and advises them to put their efforts in the direction of achievement of these targets. Under his
guidance the employees admit that they learn a lot and are able to meet their targets. This has led to the
increase in their salaries. Identify the importance of management highlighted above.

Answer:

The importance of management highlighted here are:

Management increases efficiency. A floor manager of a mall is a very good manager as he utilizes all the
functions of management to minimize cost of maintenance of his area,

Management helps in achieving group goals. He directs all the staff members under him to follow the
targets and advises them to put their efforts in the direction of achievement of these targets.
Management helps in achieving personal objectives. This has led to the increase in their salaries.

Question 5:

ABCD Inc. is a company which deals with providing car service at home and on road. There are different
departments in this company like Human Resources, Marketing, Finance, Research & Development and
Operations. The top management of the company tries its level best to synchronize the activities of
different departments in the best possible manner. The result is the increased efficiency and attainment
of goals. However with the passing of time the size of the company has grown and now there are many
branches of this company. The synchronization has turned more important with the increase in the size
of the company and the number of employees. The Departmental Heads cf the company are specialists
in their respective areas and the top management tries to work with them not with authority but by
respecting their views on the subject. Their ego clashes are avoided to ensure smooth functioning of the
organisation.

Identify the concept of management highlighted above. Write two benefits highlighted in the above
paragraph of this concept.

Answer:

The concept of management highlighted above is that of Coordination. The top management of
company tries its level best to synchronize the activities of different departments in the best possible
manner.

The importance of coordination:

Growth in size. When the organisation grows in size coordination plays an important role in
synchronizing all the activities as the number of employees and branches increases. The synchronization
has turned more important with the increase in the size of the company and the number of employees.

Specialisation. The specialists like the departmental heads cannot be tackled just by unity of command.
They have their own egos. Here the best way to tackle them is to ensure coordination among them.
Their ego clashes are avoided to ensure smooth functioning of the organisation.

Question 6:

Alpha Beta Inc. decided to go for perfect coordination in the various aspects of the company. They focus
on synchronization of all the activities of the organisation. For this they know coordination will be the
key. At the stage of thinking of what is to be done throughout the year they decide to take into
consideration the harmony between the goals of the organisation and those of the individual
departments. When they hire employees they pay them only after evaluating their worth in terms of
how efficient they are. Finally when the last month of production comes they, time and again check the
deviation between the set targets and the actual production done.
In the above paragraph the main focus is on coordination. However various functions of management
also come into picture. You have to identify the three functions of management highlighted above in
which coordination can be seen.

Answer:

The various functions of management highlighted above are:

Planning. At the stage of thinking of what is to be done throughout the year they decide to take into
consideration the harmony between the goals of the organisation and those of the individual
departments.

Staffing. When they hire employees they pay them only after evaluating their worth in terms of how
efficient they are.

Controlling. Finally when the last month of production came they were time and again

checking the deviation between the set targets and the actual production done.

Question 7:

Saagar Ltd. believes in coordination among departments and activities. The company relies heavily on
professional coordination. For this the company takes steps throughout the year. Coordination is kept in
mind by all the managers regardless of the level they are working at. Throughout the year the various
activities are synchronized without failure. Every department ensures that within it every employee and
operation is guided by the theme of proper coordination. Whenever an employee takes an action he
consults others, whenever needed, thus properly contributing to his team. The process of coordination is
just not limited to the employees. Even at the departmental level the various departments use this
binding force to create perfect harmony among them so that the organisational goals can be fulfilled. All
the coordination that occurs in the organisation is a result of proper training and premeditated attempts
by the company to get the best results possible. .

The above case represents all the characteristics of coordination. Identify the lines which represent them
and also name the characteristics.

Answer:

Coordination is the responsibility of all managers. Coordination is kept in mind by all the managers
regardless of the level they are working at.
Coordination is a continuous process. Throughout the year the various activities are synchronized
without failure.

Coordination is all pervasive. Every department ensures that within it every employee and operation is
guided by the theme of proper coordination.

Coordination is a group activity. Whenever an employee takes an action he consults, others whenever
needed, thus giving properly contributing to his team.

Coordination involves unity of action. Even at the departmental level the various departments use this
binding force to create perfect harmony among them so that the organisational goals can be fulfilled.

Coordination is a deliberate function. All the coordination that occurs in the organisation is a result of
proper training and premeditated attempts by the company to get the best results possible.

Question 8:

Radio XYZ is a company which has improved its functioning by proper management. The company has
been good in fixing and completing targets. The main reason for its success has been the involvement of
all of the employees. The company tries to keep its targets in front of the employees so that each one of
them can contribute to the completion of goals. Though their activities may be different yet they
contribute to the common targets or goals of the organisation. The company has won the prize for the
best organisational climate. This has been possible due to the impact of great managerial discipline
which might not be visible to an outsider in the first look but he realises it when he stays in the
organisation. Gradually the organisation has developed itself into a very successful company. It has
produced different types of radios according to the needs of the customers. During last decade it has
adapted to the requirements of the market and produced different type of radios suiting the needs of
the customers. The management of three components is always significant to the company —
employees, process and amount of work to be done. Controlling these three areas is always a top
priority to the company. Recently a meeting was held which laid stress on the need of taking good
management to all levels and departments of the organisation.

In the above case find all the characteristics of management and highlight the lines which help you
identify them.

Answer:

The following characteristics of Management have been highlighted:

Management is a goal oriented process. The company has been good in fixing and completing targets.

Management is a group activity. Though their activities may be different yet they contribute to the
common targets or goals of the organisation.
Management is an intangible force. This has been possible due to the impact of great managerial
discipline which might not be visible to an outsider in the first look but he realises it when he stays in the
organisation.

Management is a dynamic function. During last decade it has adapted to the nequire-ments of the
market and produced different type of radios suiting the needs of the customers.

Management is multidimensional. The management of three components is always significant to the

company—employees, process and amount of work to be done.

Management is all pervasive. Recently a meeting was held which laid stress on the need of taking good
management to all levels and departments of the organisation.

Question 9:

Dheeraj, Neeraj and Suraj are three friends. They work in the same company. They are managers but
they belong to three different levels of management. Every day they meet and discuss their work with
each other. One day they were having a conversation.

Dheeraj said, “These days I am having a lot of problems motivating the people at Shop Floor. I have
decided to purchase two new machines. I know I will have to set an example by being the best leader.”

Neeraj said, “I am having problem with knowing the exact requirement of people in my department.
Different polices have to be informed to the employees so that they become aware of our company’s
goals. I also have to coordinate with other departmental heads to know their requirements.”

Suraj said, “I have to decide for long term. I know I will be ultimately responsible for every activity. All the
policies and strategies require a lot of planning before formulation.”

In the above case identify the different levels of management these three friends belong to.

Answer:

Dheeraj belongs to lower level of management. Lower level manager works at the Shop Floor level. Shop
Floor is the place where workers work and machines are kept.

Neeraj belongs to middle level management. Middle level manager decides the number of employees to
be required in his department. He also has to coordinate with other departmental heads though at the
same level.

Suraj belongs to the Top level of management. Top level manager is required to plan for long term basis.
He is responsible for all the activities in the organisation. Policies and strategies are formulated by the
Top management.

Question 10:
In a country named Wonderland acting is considered as a profession. Whosoever has to become an actor
has to read books written about acting. These books tell the nuances of acting and without reading these
books one can’t be considered as an actor. To judge the ability of an actor an examination is conducted
and then a degree is assigned to the qualified persons who can then act in films. There is also a body
which provides membership to all actors. There are about thirty thousand actors in wonderland who are
compulsorily members of this organisation.

What are the three features of profession highlighted here? Also identify the lines highlighting these
features?

Answer:

The three features of profession highlighted here are:

Well-defined body of knowledge. An actor has to read books written about acting.

Restricted Entry. To judge the ability of an actor an examination is conducted and then a degree is
assigned to the qualified person who can act in films.

Professional Association. Actors in wonderland who are compulsorily members of this organisation.

Question 11:

Faulty works Inc. has a very dynamic Plant Superintendent, Amit, who is fond of dealing with tough
situations. He is a perfectionist who believes in doing quality management. Every week he prepares a
schedule which helps in minimization of wastage of efforts and time of the department. He however is
upset with the cutthroat competition among the employees which is having a negative impact on the
overall production. Even after all such problems he is managing the situation very well. On 26th Feb he
informs his boss that the target given to him has been achieved and with the best quality.

The best part was that still two days were remaining for the dead line to be over which was 28th Feb.
However his boss was not pleased as the cost incurred by his team for the completion of project is more
than the allowed limit.

In the above case find out the concepts of management violated and the concepts lollowed? Also tell at
which level of management does Amit work?

Answer:

The concepts of management which have been violated are:

Cooperation. There is so much competition among the employees that there is negative outcome of it.
Efficiency. There has been more than expected spending of resources which has led to increase in overall
costs incurred.

The concepts of management which have been followed are:

Coordination. Every week he prepares schedule and thus brings down wastage of efforts.

Effectiveness. As the work is completed before time and with required quality.

Amit works at the middle level management as Plant Superintendent is a middle level manager.

Question 12:

Pricey Medicines was a world level medicine manufacturing company. However recently its fame had
come down under the impact of resignations put forth by two of its departmental heads. These
departmental heads were experts in their fields. One was leading the.marketing department and the
other was a scientist of repute who headed the manufacturing department. In the top level
management meeting it was found that such departmental heads who were specialists in their areas
can’t be tackled by unity of command. They were egoistic as they were specialists.

After the meeting things started to change for the organisation as all the departments started to work
with one single target of giving the company its lost fame. There was a combined effort which doubled
the revenue of the organisation. A special regulation system of including every level manager was
brought into action. Thus the overall functioning of the organisation was improved.

In this case a concept of management was missing. Identify it. Also identify its characteristics highlighted
here.

Answer:

After meeting the things started to change for the organisation as all the departments started to work
with one single target of giving the company its lost fame. There was a combined effort which doubled
the revenue of the organisation. A special regulation system of including every level manager was
brought into action. Thus the overall functioning of the organisation was improved.

The concept of management which was missing was Coordination (such departmental heads who are
specialists in their areas can’t be tackled by unity of command).

The two characteristics of coordination which are highlighted are:

Unity of Action—as all the departments started to work with one single target of giving the company its
lost fame; and
Responsibility of all managers—A special regulation system of including every level manager was brought
into action.

Question 13:

Ice Air Manufacturers are the leading AC manufacturers. On meeting the record target they decided to
give prize to the best worker of the year. Rajesh who is a very devoted worker wins the prize of the best
worker. He is very happy. Mr. Kulkarni who is the CEO of the company gives a heart-touching speech. He
tells all the workers present that the company should reach new heights this year. Their contribution will
be immense. He tells them that the revenue this year should exceed cost so much so as to reduce the
business risk. So that in the coming years company could show increase in the number of workers,
number of products produced and also the sales turnover. The speech ends with the promise made by
the labour union head that the company will get the full support from the workers.

In the above case which type of objectives are discussed by Mr. Kulkarni in the speech? What is the other
term used for this category of objectives? At which level of management does Rajesh work in the
company?

Answer:

The type of objectives discussed are Organisational Objectives since

Profit—revenue this year should exceed cost so much so as to reduce the business risk; and

Growth—increase in the number of workers, number of products produced and also the sales turnover
are discussed here.

The level at which Rajesh works is the non-managerial level since all the workers work at this level and
he is a worker (Rajesh who is a very devoted worker).

Question 14:

Shiva Computers Ltd. is a leading company in Computer Technology and IT services. The CEO of the
company attributes the success of the Company to its managerial team spirit, which have helped to
handle rapid changes in technologies and to transform threats into opportunities. Like any other
business enterprise profits are important for survival and growth of Shiva Computers Ltd. The
management of the company believes that a satisfied employee creates a satisfied customer; who in
turn creates profits that lead to satisfied shareholders.

The company has a strong sense of social responsibility. It has set up many educational institutions in the
field of management, engineering and computer education, in which half of the students are girls.

On the basis of the given information about Shiva Computers Ltd. answer the following
(a) Identify and explain the objectives of the company discussed in the above para. Also quote the lines
for the identified objectives.

(b) Identify any two values which the company is trying to communicate to the society.

Answer:

(a) “Like any other business enterprise profits are important for survival and growth of Shiva Computers
Ltd.”

Objective—Organisational objectives. Organisational objectives include proper utilisation of material and

human resources to fulfill the economic objectives of the business. These economic objectives include
the following:

Survival. Management has to ensure the survival of the organisation. An organisation must generate
sufficient revenue so that it is able to cover its costs.

Profit. Management must ensure that business earns profit so that it can continue its operations in the
long rim.

Growth. It involves adding to the prospects of the business in the long run. Growth

of the business is indicated by increase in sales volume, increase in number of employees, increase in
investment, etc.

“The management of the company believes that a satisfied employee creates a satisfied customer, who
in turn creates profits that lead to satisfied shareholders.”

Objective—Personal objectives. Various people join a particular organisation to satisfy their diverse
needs that range from financial needs to affiliation needs. Management aims at reconciling personal
goals with organisational goals for the purpose of creating harmony. “The company has a strong sense of
social responsibility. It has set up many educational institutions in the field of management, engineering
and computer education, in which half of the students are girls.

Objective—Social objectives. Social objectives involve creation of benefit by the business for the society.
It involves creation of economic value for the benefit of the members of the society.
(b) Values:

Team Spirit and Good work culture.

Women’s Empowerment.

Fulfilling social responsibility by showing concern for the society. (any two)

Question 15:

White Camel Sports Ltd. has recently given job to two employees. Rajesh

work experience as Rajesh is a bit older and had worked in an MNC earlier. However both are paid
equally. Every person in their department knows that Rajesh is more efficient than Suresh. Definitely
they see a mismatch in the salaries and the efficiencies of the employees in the company. The marketing
department of the same company has this year set a monthly target of 10000 units of sports items to be
sold. In the month of March 6000 items were sold and the deviation was 4000 units. In the month of
April 8000 units were sold and the deviation was 2000 units. Despite these deviations no effort is being
made to track the performance of the company to minimize the gaps.

In the above case which two functions of management have been discussed? A very important concept
of management has also been overlooked. Identify it.

Answer:

The functions of management discussed above are—

(i) Staffing (The company has recently given jobs to two employees) and Controlling (Deviations are
being discussed above).

The concept of management which is missing in the above case is coordination. There is lack of
coordination in staffing (they see a mismatch in the salaries and the efficiencies of the employees in the
company) and controlling (no effort is being made to track the performance of the company to minimize
the gaps).

Question 16:

Cyclone Cycles is a leading bicycle manufacturing company. The company decides to manufacture 5000
bicycles by the end of the month. The bicycle manufacturing cost is to be kept below Rs.750 per unit.
The bicycles have to be manufactured at the set toughness enduring capacity at the scale of 8 out of 10.
With all these parameters in mind the company kick starts its manufacturing. By the 28th of the month
the company is able to achieve the manufacturing of 5050 bicycles. The toughness endurance scale is
well above 8.25 out of 10. When everything seems to have gone well the manufacturing department
reveals that per unit cost of each bicycle is Rs.780.

In the above case do you think that the company has been able to achieve Effectiveness? 1

Answer:

Yes the company has achieved Effectiveness. Since the quality (toughness scale—8.25 well above 8),
quantity (5050 units well above 5000 units) and dead line (the target is achieved on 28th) have been
achieved. The company lacks in efficiency as per unit cost has gone above the set target by Rs.